Optimism Proposes Using 50% Of Superchain Revenue To Buy Back OP Tokens
Optimism proposed allocating 50% of Superchain revenue to monthly buybacks of the OP token to tie its value to network activity.Summary
The Optimism Foundation has put forward a significant proposal to enhance the utility of the OP token by dedicating 50% of the revenue generated by the Superchain to regular buybacks of OP tokens. Michael Vander Meiden, an Optimism Grants council member, shared the plan, emphasizing that this move will finally link the OP token's value to actual network activity, moving beyond its previous role as primarily a governance token. The tokens acquired through buybacks will be directed to the token treasury, where they can subsequently be burned or distributed as staking rewards, with governance retaining oversight of the buyback parameters. This initiative aims to align the OP token more closely with the Superchain's growth, which currently captures 61.4% of the L2 fee market share. The Superchain, launched in February 2023 using the OP stack, includes chains like Base. The proposal seeks to reflect the growing momentum of the ecosystem in the token's value, despite the OP token experiencing an 83% price decline in 2023.
(Source：Cointelegraph)